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Problem 3: Suppose there is a manufacturing facility that makes refrigerators. This manufacturing facility is across the street from an elementary school. The production process

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Problem 3: Suppose there is a manufacturing facility that makes refrigerators. This manufacturing facility is across the street from an elementary school. The production process is very noisy and it disrupts the children's learning. Given the following information, answer several questions. Demand: Q = 2000 - P . . Supply: Q = -200 + P Marginal External Cost: MEC = 0.1Q (a) Graphically show the private market quantity and the socially optimal quantity. Fully label the graph and draw all relevant curves

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